1.1 A bill for an act
1.2 relating to human services; modifying the medical assistance for employed persons
1.3 with disabilities program; amending Minnesota Statutes 2024, section 256B.057,
1.4 subdivision 9.
1.5BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.6 Section 1. Minnesota Statutes 2024, section 256B.057, subdivision 9, is amended to read:
1.7 Subd. 9.Employed persons with disabilities.(a) Medical assistance may be paid for
1.8a person who is employed and who:
1.9 (1) but for excess earnings or assets meets the definition of disabled under the
1.10Supplemental Security Income program; and
1.11 (2) pays a premium and other obligations under paragraph (d).
1.12 (b) For purposes of eligibility, there is a $65 earned income disregard. To be eligible
1.13for medical assistance under this subdivision, a person must have more than $65 of earned
1.14income, be receiving an unemployment insurance benefit under chapter 268 that the person
1.15began receiving while eligible under this subdivision, or be receiving family and medical
1.16leave benefits under chapter 268B that the person began receiving while eligible under this
1.17subdivision. A person who is self-employed must file and pay all applicable taxes. Any
1.18spousal income shall be disregarded for purposes of eligibility and premium determinations.
1.19 (c) After the month of enrollment, a person enrolled in medical assistance under this
1.20subdivision who would otherwise be ineligible and be disenrolled due to one of the following
1.21circumstances may retain eligibility for up to four consecutive months after a month of job
1.22loss if the person:
1Section 1.
25-01507 as introduced12/19/24 REVISOR AGW/AD
SENATE
STATE OF MINNESOTA
S.F. No. 142NINETY-FOURTH SESSION
(SENATE AUTHORS: BOLDON)
OFFICIAL STATUSD-PGDATE
Introduction and first reading01/16/2025
Referred to Human Services 2.1 (1) is temporarily unable to work and without receipt of earned income due to a medical
2.2condition, as verified by a physician, advanced practice registered nurse, or physician
2.3assistant; or
2.4 (2) loses employment for reasons not attributable to the enrollee, and is without receipt
2.5of earned income.
2.6To receive a four-month extension of continued eligibility under this paragraph, enrollees
2.7must verify the medical condition or provide notification of job loss, continue to meet all
2.8other eligibility requirements, and continue to pay all calculated premium costs.
2.9 (d) All enrollees must pay a premium to be eligible for medical assistance under this
2.10subdivision, except as provided under clause (5).
2.11 (1) An enrollee must pay the greater of a $35 premium or the premium calculated based
2.12on the person's gross earned and unearned income and the applicable family size using a
2.13sliding fee scale established by the commissioner, which begins at one percent of income
2.14at 100 percent of the federal poverty guidelines and increases to 7.5 percent of income for
2.15those with incomes at or above 300 percent of the federal poverty guidelines.
2.16 (2) Annual adjustments in the premium schedule based upon changes in the federal
2.17poverty guidelines shall be effective for premiums due in July of each year.
2.18 (3) All enrollees who receive unearned income must pay one-half of one percent of
2.19unearned income in addition to the premium amount, except as provided under clause (5).
2.20 (4) Increases in benefits under title II of the Social Security Act shall not be counted as
2.21income for purposes of this subdivision until July 1 of each year.
2.22 (5) Effective July 1, 2009, American Indians are exempt from paying premiums as
2.23required by section 5006 of the American Recovery and Reinvestment Act of 2009, Public
2.24Law 111-5. For purposes of this clause, an American Indian is any person who meets the
2.25definition of Indian according to Code of Federal Regulations, title 42, section 447.50.
2.26 (e) A person's eligibility and premium shall be determined by the local county agency.
2.27Premiums must be paid to the commissioner. All premiums are dedicated to the
2.28commissioner.
2.29 (f) Any required premium shall be determined at application and redetermined at the
2.30enrollee's 12-month income review or when a change in income or household size is reported.
2.31Enrollees must report any change in income or household size within 30 days of when the
2.32change occurs. A decreased premium resulting from a reported change in income or
2.33household size shall be effective the first day of the next available billing month after the
2Section 1.
25-01507 as introduced12/19/24 REVISOR AGW/AD 3.1change is reported. Except for changes occurring from annual cost-of-living increases, a
3.2change resulting in an increased premium shall not affect the premium amount until the
3.3next 12-month review.
3.4 (g) Premium payment is due upon notification from the commissioner of the premium
3.5amount required. Premiums may be paid in installments at the discretion of the commissioner.
3.6 (h) Nonpayment of the premium shall not result in denial or termination of medical
3.7assistance unless the person demonstrates good cause for nonpayment. "Good cause" means
3.8an excuse for the enrollee's failure to pay the required premium when due because the
3.9circumstances were beyond the enrollee's control or not reasonably foreseeable. The
3.10commissioner shall determine whether good cause exists based on the weight of the
3.11supporting evidence submitted by the enrollee to demonstrate good cause. Except when an
3.12installment agreement is accepted by the commissioner, all persons disenrolled for
3.13nonpayment of a premium must pay any past due premiums as well as current premiums
3.14due prior to being reenrolled. Nonpayment shall include payment with a returned, refused,
3.15or dishonored instrument. The commissioner may require a guaranteed form of payment as
3.16the only means to replace a returned, refused, or dishonored instrument.
3.17 (i) For enrollees whose income does not exceed 200 percent of the federal poverty
3.18guidelines and who are also enrolled in Medicare, the commissioner shall reimburse the
3.19enrollee for Medicare part B premiums under section 256B.0625, subdivision 15, paragraph
3.20(a).
3.21 (j) The commissioner is authorized to determine that a premium amount was calculated
3.22or billed in error, make corrections to financial records and billing systems, and refund
3.23premiums collected in error.
3Section 1.
25-01507 as introduced12/19/24 REVISOR AGW/AD